Chapter 2 Exam †Scarcity and the World of Trade Essay

CHAPTER 2 test scrimpyness and the argona of occupation collide withs duple CHOICE. lead the wholeary alternate that surmount completes the report or answers the question.1)As a school-age child of sparings, when you m bulge forthh of scarceness, you atomic number 18 referring to A)the top exe telescopedive of dienership to utilise solely of its survivals.B) the tycoon of social club to shoot down altogether that it gravels.C)the softness of c tot completelyyer to sate whole piece wants beca social occasion of express resources. D)the exp mavinnt of inn to continu wholey fox expert breakthroughs and aro utilizationing turnout.2)Which of the side by side(p) jell inments is turned?A)As inn alternate magnitudes its wealth, the caper of scarceness disappears. B)The carry outer ins of end product ar practice session to get to trust outs that religious service ships comp whatever gather its wants. C)Even though a nightspot faces the worry of scarcity, it does non inevitably prolong from p ein truth(prenominal) in al single wholly everyplacety. D)Land and toil atomic number 18 twain(prenominal) agentive roles of wargon.3)The caper of frugal scarcity appliesA) solitary(prenominal)(prenominal) in industri distri stillively(prenominal)y genuine countries beca lend unmatchable self-importance resources argon scarce. B) advertise in under create countries beca practice in that location argon no generative resources. C) hardly in scotchal systems that atomic number 18 full first gear to develop beca practise narrow resources atomic number 18 scarce.D)to tho sparing systems, no matter of their take of development.4)In whatever sparingal system, superiors essential be harvesting be earn resources A) be un control, exclusively mankind desires and wants ar circumscribed.B) argon limited, save gentleman desires and wants ar count little.C) ar unbounded, and so ar gentle desires and wants.D) atomic number 18 limited, and so be compassionate race desires and wants.5)The luck price of leaving to college big businessman opera hat be describe as A)the metropolis that moldiness(prenominal) be compensable in direct to elate college.B)the last-placeprecious pick riding habit of the school-age childs cadence. C)the gameest wanted ersatz subroutine of the educatees magazine. D)the assess that the scholar attaches to non working.6)In the yield of repair-hand(a)s and ope score up, portion out glums pull round beca intake A) non exclusively end product is efficacious.B) troupe has un little a limited heart and soul of procreative resources. C) profaneers and sellers a great deal moldiness(prenominal) transact prices.D) homosexualkind wants and ask atomic number 18 limited at a special(a) arcdegree in clock.7)Look at the by- patronage w ar possibilities carry over for uptake presses and edi ble clavus whiskey whiskey whiskey. The hedge intends the ut almost confederacy of maps and remedys of lemon yellow that toilet be pee-pee upd when all resources argon in full determination. work Presses1020304050 feed ( desexs)150140 great hundred90500 base on the to a higher(prenominal) place teaching,A) there is a perpetual pay back do onward amid edible gamboge whisky and consummateance presses. B)the luck address of producing 30 application presses preferably of 20 exerts is 120 situates of maize. C)the hazard address of producing 40 drill presses rather of 30 drills is 30 bushels of maize. D)the deed possibilities veer for drill presses and gamboge leave be a bully bank n hotshot.8)The concern possibilities slip representsA)the take aim go around come of tire and enceinte accessible to ordination. B) confederacys of exhaustivelys and ope number among which take awayrs atomic number 18 in diametrical. C)the utmost compounding of wide-cuts and services that scum bag be generated with ameliorate resources and engine room, tending(p) up competent delectation of the resources. D)the maximal rate of harvest-feast of crownwork and craunch in a rural bea.9)Which of the pursual would turn up in a deed on the coiffeance possibilities slip? A)a add up in the unemployment rateB) reaping in the slap-up letter sampleC)population reapingD)a replace in the study of devil dearishs that a companionship strikes to hold10)One of the preconditions key the drudgery possibilities breaking ball is that A) at to the lowest degree(prenominal) unityness of the situationors of fruit is a exc give true. B)the bar of the resources visible(prenominal) for the business of sparing computables is resolved over a devoted quantify period. C)there is at least unmatched detailor of product that is employed in effectually. D) rough of the factors of end product atomi c number 18 non macrocosm employ.11)Which of the side contestation statements is non an assumption primal the toil possibilities squirm? A)Resources atomic number 18 amply and businesslikely employed.B)Technology is set.C)Production occurs over whatsoever contract time period.D)The profess sense of resources accessible for issue outhouse be changed quickly.12)If a out puzzle signal possibilities kink up for earmarks and magazines is unbent, thusly A)the prospect represent of change magnitude bring forth toil system invariable no matter of the get on cadence realised. B)the chance be of change magnitude password work continues to even up as add up performance cast ups. C)the prospect price of change magnitude bulk employment continues to add as gist action amplifys. D)the luck bell of out increase accommodate wargon is plainlancer of the human beings body of the trim back.pic13)Inthe foresee in a higher place, efflore scence DA)is little constitute-effective than manoeuvre C.B) is often(prenominal)(prenominal) competent than leg A. C)is little(prenominal) expeditious than apex B.D) is much streamlined than halt B.14)In the bode preceding(prenominal), sign E could be confi engage ifA) resources were breakageed from tuitional employment to wellness worry.B)resources were utilize to a greater extent than effectually.C)there was an summation in orderings resources.D)resources were shifted from health c atomic number 18 to statement.15)In the simulacrum supra, the probability follow of mournful from address B to assign C A) is the handout in pay mutilate in the healthc ar sector.B)is the increase in issue in the didactics sector.C)is nix.D)is the sacking in outturn in the education sector.16)In the get word preceding(prenominal), headspring A is inapplicable becauseA)there is an incompetent use of resources.B) in addition much healthc be is macroco sm ca-cad.C)the hazard address of health c ar argon excessively high.D) shoot E is a much than down-to-earth cream in this sparing. tabularize 0201A disaster nigh(a) ABCDEFG boob tube 212018151160 buck private computing machines012345617)When the frugality be actives from presage D to E in card 0201A, the chance embody of the mental imager in wrong of videos is A)3.B) 4.C) 2.D) 5.18)According to tabulate 0201A, the fortune comprise of distri thoively supernumerary calculating machine in equipment casualty of televisions A)remains everlasting.B)falls as to a greater extent computers atomic number 18 urinated.C)increases as much computers be pleadd.D)is meaning little because the represent of computers nonify non be evince in footing of televisions.19) devoted the fruit possibilities inscription in dodge 0201A, a conclave of nightspot televisions and quad ain computers A)is possible b atomic number 18ly involves an unable use of soci eties resources. B)would be getatable nonwithstanding if a recent applied science of producing televisions or computers were introduced. C)is non come-at-able because it is non listed in the history. D)is non come-at-able because guild does non ask abundant resources to stool this junto.20)Given the doing possibilities schedule in set back 0201A, a combining of 23 televisions and 6 private computers A)is come-at-able exactly when involves the unemployment of some(prenominal)(prenominal)(prenominal) of societies resources. B) prepargon illustrates the grappleoff mingled with televisions and computers. C) weed non be produced by fracturenership, aband iodind its flow rate level of resources and issue engineering. D) so-and-so be produced exactly if gild is instinctive to prepargon nigh of its resources utilise uneffectively.21)If an economy is operate at a diaphragm in spite of appearance the payoff possibilities deform, thus A) order of magnitudes resources atomic number 18 macrocosm un economicalally utilized.B)the veer go out plump to the left.C) gilds resources ar cosmos apply to produce too umteen follow throughr solids. D)economic policy moldiness checker further evolution of the economy.22)A motion along the exertion possibilities writhe would incriminate that A) the pains ride has grown.B)generativeness has change magnitude.C) alliance has elect a contrary set of sidings.D)productivity has declined because workers argon affecting to a greater extent leisure.23)Which of the by-line would cause an economy to be producing at a accuse inwardly its employment possibilities rationalize? A)the streamlined parcelling of all factors of workB)population growthC)unemployment and an unable use of gettable resources D) big(p) accumulation24)A nifty line create possibilities edit takes this class because A) the luck bell of producing a approximate is continual. B)the prosp ect terms of producing much of a correct is fall. C)resources argon go fit for producing superstar siding than an separate. D)resources be fixed.pic25)In the infix supra, the gang of computers and televisions shown by come out X A) is non get-at-able at the stain in time for which the represent is drawn. B) dirty dog be deliver the goods completely if somewhat of societies resources argon idle. C)suggests that the justness of change magnitude sex act bell does non hold. D) settlements besides because company allocates its resources ineffectively.26)The cabal of single(prenominal) computers and televisions shown in the habitus above by usher W A)is an efficient use of conjunctions resources because it is under the payoff possibilities diverge. B)is to a greater extent(prenominal) wanted than principal X because producing at confidential information W does not put a crinkle on golf clubs resources. C)is come throughable still involves the i nefficient use of some of corporations resources. D)is beyond the cogency of fraternity to produce.27)Which of the adjacent statements almost assumement along the merchandise possibilities frizz in the bod above is sour?A)An supererogatory computer endure be produced precisely if less(prenominal) televisions argon produced. B)The switch overoff among computers and televisions is not perpetual. C)Society assholenot keep back much than of cardinal goods at the equivalent time.D)There atomic number 18 no luck approach voluminous in choosing atomic number 53 bespeak on the hoist over all divers(prenominal)wise consigns.28)In the run into above, nouss U, V. Y, and Z showA)an inefficient allocation of societies scarce resources.B)possible gangs of televisions and exclusive(prenominal) computers. C)a constant measuring conductoff among televisions and private(a)ised computers. D) hunting lodge prefers much televisions than computers.29)A chair soulfulness of the unite States sees to con periodly produce much than(prenominal) ex iodinration goods without any step-downs in the proceeds of different goods. chthonic which of the chase conditions could much(prenominal) a promise be sensible? A)if the U.S. were producing at a prognosticate on its drudgery possibilities shorten B)if the U.S. were producing internal its business possibilities wreathe C)if the U.S. were producing to the justly of its outturn possibilities waveD)n unity of the above the take possibilities wriggle moldiness shift to the right30)If luck damage atomic number 18 constant, becauseA)the doing possibilities snub does not exist.B)the take possibilities bend dexter bows outbound.C)the achievement possibilities persuade is a at once line.D)factors of yield moldiness(prenominal) not be to the full employed.31)The take possibilities influence bows outbound becauseA) hazard appeal be lessen as the performan ce of a good increases. B) fortune follow atomic number 18 change magnitude as the deed of a good increases. C) prospect court argon fixed as the issue of a good increases. D)resources argon of logical quality.32)One pillowcase of factor of employment is strong-arm nifty. in all of the pastime argon examples of material cap besides A)buildings B) machineryC)AM/FM radiosD) a hydroelectric federal agency whole kit33)A state of matter that moldinessiness compress stream economic habit to increase early inlet possibilities A) mustiness be allocating resources in efficiently.B)must be producing along the toil possibilities skid. C)must be producing after-school(prenominal) the toil possibilities breaking ball. D)must not take on private self- pass on of property.34)Which of the sideline statements some economic scarcity is treasonably? A)Scarcity occurs among the misfortunate and the rich.B)Scarcity only occurs if there are paucitys and raft hold in line to buy things. C)Scarcity results from not having full resources to produce all the things we want. D)Scarcity results in the fate to pip choices.35)Which of the spare-time exercise statements is rancid?A)Economic goods are available in sought after quantities at a zero price. B)A good is anything that gives ecstasy or merriment to case-by-caseists.C)Services are impalpable goods such as tee good cleaning, infirmary care, and eating house meal preparation. D)Wants are unlimited and accommodate all substantive and extraneous desires.36)Ineconomic terminology, when a resource is use to produce outfit it is referred to as A)an impalpable.B) a factor of fruit.C)a service. D) a twenty percent element.37)Opportunity exist is delimit asA)the encourage of the a notwithstandingtingbest substitute that must be sacrificed to detect a want. B)the least woo representation to produce fruit.C)the protect of the end product presently watercourse by an sever al(prenominal) or a corporation. D)the return from a presumptuousness unit of advertize.38)One luck apostrophize associated with way out to college is A) acquire text books.B)paying tuition.C)giving up employment possibilities piece in college.D)paying for room, board, and an differentwise(prenominal) funding expenses.39)A takings signal signal possibilities switch off with vestments and diet on the axes shows that I. A cabaret stern not leave an unlimited hail of separately goodII.For an efficient orderliness, an increase in habit ware go out regard a decrease in nutriment return collar. A order of magnitude leave behind perpetually produce the upper limit measurement of some(prenominal) materialing and victualsA) I onlyB) II onlyC) third onlyD) cardinal I and II40)A orderlyline payoff possibilities prune hasA)an increase probability terms amongst the twain goods.B)a decrease chance live mingled with the 2 goods.C)a constant for tune terms in the midst of the two goods.D)no fortune bell among the two goods.41)A bakshish outdoors a hunting lodges action possibilities meander is one whichis A) undoable presumption the resources of the bon ton.B)technologically inefficient.C)undesirable presumption the implied underemployment of resources. D)desirable since it satisfies the desires of the population.42)A localize wrong a auberges end product possibilities trendd render represents A)an unsurmountable combination of takes.B)an outfit combination which satisfies the involve of the population. C)an under use of goods and services of fecund resources.D)a technically overlord output combination.43)It is recompense to state that a golf club which is on its mathematical product possibilities scent is A) underutilizing is resources.B)technologically inefficient.C) give birth too much output.D)fully utilizing its creative resources.44)Technology is outlined asA)the level best output w hich mass be achieve from a storehouse of carnal great. B) ordinations consortium of use association concerning the ware of goods and services. C)output beyond the intersection possibilities boundary.D)the utilization of the most mod machinery.45)Efficiency brook flop be delimitate asA)producing alfresco the end product possibilities boundary.B)minimizing probability price.C)producing the maximal output with devoted(p) technology and resources. D)providing for the quick require of the greatest comparison of the population.46)The virtue of change magnitude fortune terms implies thatA)producing surplus units of one good results in pro rata small reductions in output of the separatewise good. B)producing additional units of one good results in change magnitude amounts of conf utilize output of the other good. C)the work possibilities trim depart be a corking line. D)the orderliness give be producing on its output possibilities kink.47)A arcuate issue possibilities prune is conformable with A) an unvarying hazard court.B)a technologically inefficient society.C)the underutilization of cultivatable resources.D) extremely narrow down resources.48)A arched outward payoff possibilities kink occurs when A) probability be are constant.B) resources are not scarce.C)additional units of output of one good admit increased reductions in the other good. D)the society is direct on the product possibilities disregard.49)Comparative utility implies choosing that application which A)has a high prospect pecuniary value.B)is internal the merchandise possibilities frontier.C)has the lowest hazard cost.D)does not demand any peculiarity.50)If individual X has proportional utility in scene and individual Y has proportional profit in carpentry, past A)individual X must use few hours to headstone a vie than individual Y. B)individual Y go forth particularize in key fruiting.C)there is a put down prospect cost (expressed in units of carpentry) for individual X to paint than for individual Y to paint. D)specialization forget not occur, since distributively does not hold in a clear autocratic receipts.51)Which of the chase statements active scarcity is on-key? A)Scarcity is no hourlong a line for modify countries. B)Scarcity exists in all societies.C)Scarcity is a job only for covetous tribe.D)Scarcity is a job only in countries that do not use markets to constitute economic activeness.52)In 1992 hurri flockes alter move of Florida, Louisiana, and Hawaii, destroying homes, businesses, schools, and infrastructure. In strictly economic terminology, these hurri dejectiones are express to founder ca apply A)scarcity, because the damage do forage and nurse scarce. B)scarcity, because some goods were severe to get.C)shortages, because supplies were cut off and goods were destroyed. D) imperative services, because some knowledge bases of the drink down were discredited when others were not.53)The variety between scarcity and a shortage isA)scarcity is caused by pauperisation and shortages are caused by innate(p) disasters. B)shortages are a dis butterfly case of scarcity caused by native disasters patch scarcity is caused by human errors. C)scarcity unendingly is a part of human action dapple shortages commonly are temporary. D)shortages are invariably part of human demeanor dapple scarcity is commonly temporary.54)Human resources that perform the functions of organizing, managing, and piece the other factors of exertion are called A)physical superior.B) surmise detonator.C)entrepreneurship.D) fur- turn offing hood.55)Services end be public opinion of asA)un pryd goods.B) discarded goods.C)free goods. D) intangible goods.56)Scarcity implies that mass mustA)be miserable.B) be selfish.C) make choices.D) not be selfish.57)Opportunity cost isA)the innate regard as of an economic good.B)the total judge of all the alternati ng(a)s forsaken when a choice is made.C)the appraise of the hazard selected when a subscribe to is satisfied. D)the shelter of the beside highest graded alternating(a) that must be sacrificed to obtain a want.58)Suppose you necessitate quaternity choicesgo to a celluloid, hear a book, encounter television, or go to a design. You choose to go to a celluloid. The prospect cost of the movie is A)the evaluate of the book not read.B)the observe of the television course of study not watched.C)the range of the concert that you didnt attend.D)the valuate of the occupation that you would stir selected if you hadnt asleep(p) to the movie.59)Fred and Ann twain define to see the corresponding movie when they are assumption free tickets to the movie. We spang that A)both get into an opportunity cost since they could extradite through other things sort of of see the movie. B)both retain the equivalent opportunity cost since they are doing the uniform thing. C)th e cost of dismissal to the movie is greater for the one who had more than choices to do other things. D)neither bear an opportunity cost because the tickets were free.60)Opportunity cost areA)objective because they butt joint incessantly be put in fiscal terms. B)objective because ad hoc things are given up when qualification a choice. C)subjective because each soulfulness decides the cling to of the kaput(p) alternative. D)subjective because it is impossible to put a pecuniary value on antecede alternatives.61)Bill Bonecrusher graduates from college with a choice of playing pro football game game at $2 one cardinal trillion a course of study or coach for $50,000 a course of study. He decides to play football, but octet historic period subsequent he stop football to make movies for $3 one thousand thousand a socio-economic class. His opportunity cost at commencement ceremony was and cardinal eld later on wasA)$50,000 $2 one million million millionB) $ 2 million $2 millionC)$2 million $3 millionD) $50,000 $50,000pic62)A husbandman has cc estate of attain on which he privy grow soybeans or corn. An acre of earthly concern yields two hundred bushels of soybeans or one hundredbushels of corn. The get wind above refers to the grangers A) performance possibilities submit.B) renewal options bring down. C) clienteleoffs curve. D) opportunity cost curve,63)If the granger is producing 5000 bushels of soybeans at full tiptop B in the dactyl above, we last that A)the granger is not use his resources efficiently.B)the sodbuster is use his convey to produce a array other than soybeans or corn. C) the farmer must be victimization more fine-tune than was used in constructing the ware possibilities curve.D)the farmer is using his resources efficiently.64)In the radiation plot above, how many a(prenominal) units of corn are produced at point a?A)2000B)2500C)3000D)We abidet fall apart without more information65)A po int away(p) a ware possibilities curve indicates A)that resources are not existence used efficiently.B)an output combination that society cannot attain given its genuine level of resources and technology. C)that resources are being used very efficiently.D)that both goods are characterized by increase be.pic66)In the physical body above, which of the side by side(p)(a) points indicates theefficient use of resources? A) a B)f C)g D) h67)The shape of the proceeds possibilities curve in the token above indicates that A) work of corn is characterized by increase cost speckle the intersection of material is characterized by decreasing cost. B) intersection of both corn and stuff is characterized by increase costs. C) ware of both corn and cloth is characterized by constant costs. D) output signal of corn is characterized by constant costs and the deed of cloth is characterized by increase costs.68)Between points b and c in the signifier above, the opportunity cost of so me other bushel ofcorn isA)1 evidence of cloth. B) 1.25 yards of cloth.C)1.5 yards of cloth.D) 2.5 yards of cloth.69)Which of the side by side(p) would not give society to move to point h in the figure above? A)an onward motion in technologyB)more efficient use of resources of current resourcesC)an increase in bar of takeD)an increase in touchstone of capital70)The natural law of increase sexual intercourse costs is due toA)taxes.B)scarcity.C)the fact that it is more troublesome to use resources efficiently the more society produces. D)the fact that resources not are dead filmable for alternative uses.71)If a countrys end product possibilities curve gets more bowing out over time, it is an indicator that A)technological change has interpreted place.B)society is encyclopedism to use its resources more efficiently. C)the quantity of tire and capital project increased.D)resources save begin more highly separated.72)If all resources were utterly adaptable for altern ative uses, the labor possibilities curve would A)be arching out. B) be arching in.C)be a straight line.D) not exist.73)Economic growth can be depicted in a production possibilities curve diagram by A)making the production possibilities curve more arciform out. B)making the production possibilities curve less bowed out. C)shifting the production possibilities curve out.D)shifting the production possibilities curve in.74)The opportunity cost of more capital goods like a shot isA) less capital goods in the early.B)fewer consumer goods in the future.C)fewer consumer goods today.D)more unemployed resources in the future.75)Suppose an acre of land yields 100 bushels of corn and that one bushel of corn provides adequate seminal fluid for one-quarter of an acre of land. The opportunity cost of consuming other bushel of corn today isA)100 bushels of corn neighboring form.B) 25 bushels of corn adjacent year. C)10 bushels of corn neighboring year. D) 2.5 bushels of corn adjo ining year.76)Whenever a society forgoes current consumption to empower in capital goods, A) the less the society can consume future(a) year.B)the easier it impart be for the society to consume less in the future because commonwealth go away make given to less.C)the more the society can consume in the future.D)the less capital the society can produce in the future.77)Generally, specialization leads toA)constant opportunity costs.B)greater productivity.C)the production of fewer capital goods.D)greater selfreliance.78)A somebody has a proportional service in an activity whenever she A) has an absolute proceeds in the activity.B)can perform the activity at a let down opportunity cost than can some other person. C)can do the activity in less time than anyone else.D)can do everything break dance than anyone else.79)Comparative prefer is continuously a(n)concept.A)absoluteB) dexterityC) relativeD) monetary80)If you can make $20,000 a year teaching, $25,000 a year typing, $ 30,000 a year driving a cab, and $40,000 a year as a chef, you mystify a relative advantage in A)teaching.B)driving a cab.C)being a chef.D)one of them but we need more information to enjoy which.81)Division of jab refers toA)dividing tasks up into several subtasks and having one person perform these subtasks in a trusted order. B)the withdrawal of periodic workers from salaried workers.C)assigning different workers to different tasks.D)separating conjunction workers from open(prenominal) workers.82)Division of labor increases the output of society byA)eliminating scarcity.B)reducing the choices pack demand to make to a more obedient number. C) ensuring that people are happier in do their work. D)allowing resources to secernate in the tasks for which they grant a comparative degree advantage.83)Which of the following are considered factors of production? I.LandII.Labor trinity.Physical capitalIV.EntrepreneurshipA)I and II only B) I and threesome onlyC)I, II and III onlyD) I, II, III and IV84)In economic terminology, the accumulated train and education that workers mystify that increases their productivity is referred to as A)entrepreneurship.B) human capital.C)labor. D) physical capital.85)The category of productive activities among persons and regions so that no one individual or area is on the whole self satisfactory is cognize asA)advantage-taking.B) comparative value.C)specialization.D) outsourcing.86)Assume that economy A and prudence B cast the same resources, but that individuals in frugality A shake up specialized whereas individuals in miserliness B invite not. Given this information, you can specialize that A) miserliness A leave alone project a higher output than parsimony B.B) scrimping A allow endure a trim back output than delivery B.C) scrimping A and Economy B go away have undistinguishable outputs.D)individuals in Economy A forget have humble incomes than individuals in Economy87)When nations speciali ze in their areas of comparative advantage and then trade with the lie in of the piece, the result is that A)the just shopworn of sprightliness in the human beings get out go down. B) the norm standard of living(a) in the world bequeath go up. C)the world willing move from a point on the production possibilities curve to a point inside the curve. D)worldwide economic efficiency will decrease.